The global push for clean energy is intensifying pressure on lithium-rich regions of northern Chile, where Indigenous communities warn that large-scale extraction risks undermining fragile ecosystems, water resources, and traditional ways of life.

Chile, one of the world’s leading producers of lithium, has become central to the energy transition as demand for electric vehicle batteries and energy storage systems accelerates. However, in the high-Andean salt flats where much of the mineral is found, local communities say the costs of extraction are being borne disproportionately at the territorial level.

In the Atacama region, the Colla Indigenous community of Pastos Grandes lives near the Salar de Maricunga, a high-altitude ecosystem characterized by salt flats, wetlands, and limited freshwater sources. The environmental balance in the region depends on underground aquifers and scarce water flows that sustain both human livelihoods and biodiversity.“Living in our territory today means resisting,” said Zulema Mancilla, a member of the Colla community.

She described growing concerns over water depletion linked to lithium extraction, noting that the pumping of underground aquifers has reduced water availability in downstream areas where communities live and work.“We have serious problems with water,” she said, adding that while extraction projects are advancing, local populations face increasing environmental stress.Further north, in the highlands of Tarapacá near the Bolivian border, Aymara communities rely on pastoralism and subsistence agriculture, including llama and alpaca herding and quinoa cultivation.

These activities depend on high-altitude wetlands, known locally as “bofedales,” which are particularly sensitive to changes in water availability.“If this lithium project goes ahead, it will become an enormous ‘sacrifice zone’ for our people,” said Juana Mamani Flores of the Panavinto community, highlighting concerns over the long-term viability of local livelihoods.

For many Indigenous residents, the issue extends beyond environmental impact to encompass cultural and spiritual dimensions. Eva Mamani, also from Panavinto, described the territory as intrinsically connected to community identity and belief systems.“The waters have spirit, the shrubs have spirit, the mountains have spirit,” she said, framing environmental protection as both a practical and cultural imperative.

United Nations human rights officials say such perspectives underscore the need to reframe discussions around the energy transition. Jan Jarab, Regional Representative for South America, noted that areas targeted for lithium extraction are not uninhabited resource zones but living territories shaped by long-standing social and cultural systems.

While communities acknowledge the importance of addressing climate change and transitioning to cleaner energy sources, they emphasize the need for clearer information and stronger safeguards. Samuel García, an Aymara leader, said there is a lack of reliable data on the potential environmental impacts of lithium extraction.“We do not have a specific and reliable study of the damage,” he said, pointing to uncertainty surrounding long-term consequences.

The debate, according to observers, is shifting from whether lithium extraction is necessary to how it is conducted and who bears its costs. UN Human Rights has facilitated dialogues among Indigenous leaders, governments, and industry stakeholders across the “lithium triangle,” a region spanning Chile, Argentina, and Bolivia that holds more than half of the world’s lithium reserves.

These discussions focus on aligning extraction practices with international human rights standards, particularly the principle of free, prior, and informed consent for Indigenous Peoples. Jarab emphasized that affected communities must be involved in decision-making processes and have the opportunity to influence project outcomes.“Communities themselves best understand their needs and know how to care for the environment,” he said, adding that consultation mechanisms should enable equitable participation and benefit-sharing.

The UN has framed the issue within the concept of a “just transition,” warning that without adequate safeguards, the shift to renewable energy could replicate historical patterns of extractive industries, where economic gains are concentrated while environmental and social costs are localized.The role of both governments and corporations is central to this process.

Under the UN Guiding Principles on Business and Human Rights, companies involved in lithium extraction are expected to conduct due diligence, assess environmental and social impacts, and establish mechanisms to address harm. States, in turn, are responsible for regulating these activities and ensuring compliance with human rights obligations.

Jarab noted that state-owned enterprises, in particular, are expected to uphold higher standards of accountability, given their direct link to public policy and governance.The broader debate reflects a tension between global climate objectives and local realities. As countries accelerate decarbonization efforts, the extraction of critical minerals such as lithium has become essential.

However, the Chilean case illustrates the complexity of ensuring that environmental goals do not come at the expense of vulnerable communities.For Indigenous groups, the stakes extend beyond economic considerations to the preservation of cultural identity and long-term sustainability.

Decisions made in the coming years are likely to shape not only environmental outcomes but also the future of traditional ways of life in the region.The discussion, UN officials say, is ultimately about ensuring that the benefits of the energy transition are distributed equitably, and that its implementation does not undermine the rights of those living in resource-rich territories.

China’s aid to Latin America reflects a broader global trend, as Beijing looks to steer the narrative away from it being the country where the coronavirus started and was initially downplayed. Instead, China wants to be seen as spearheading the global fight against the pandemic, experts say.

Luo Zhaohui, a vice minister at China’s foreign ministry, said at a news conference in Beijing on Thursday that the country would “ride out the storm with people from other countries, strengthen cooperation and strive to win the last victory in the fight against the virus.”

While Trump has been criticized by opponents for branding the pandemic ‘the Chinese virus,’ China has won praise among Latin American governments that have accepted its help. The Chinese government said it has supplied test kits, protective suits and other forms of medical aid to more than 80 countries and international organizations.

“It’s remarkable and a credit, in a way, to China’s own commanding control of information that it’s been able to re-envision itself as a leader in the fight against coronavirus globally,” said Margaret Myers, director of the China and Latin American program at the Washington-based Inter-American Dialogue.

Myers said the recent re-start of Chinese industry, as cases have subsided, has enabled the country to be a provider of key products as the rest of the world’s production slows.

“This will create opportunities for China in the coming years,” she said.

The United States, meanwhile, is struggling with its own battle to contain the virus, with the World Health Organization warning on Tuesday that the country could become a new epicenter of the crisis.

Before the epidemic hit hardest, Washington in February pledged $100 million towards international efforts in combating COVID-19, including for developing nations. A regional breakdown of that funding was not immediately available.

Thank You, China

In Latin America, China’s hands-on approach has been well received.

Chile, which has among the highest numbers of coronavirus cases in the region, has sought advice from Chinese health officials to guide its response and is sending an air force plane to China to pick up donated supplies, including tests and respiratory equipment, Chile’s health minister said.

In Mexico, officials have said they are awaiting 300 ventilators from China, crucial yet scarce equipment in treating patients, while in Panama, government health officials heralded a video conference with Chinese experts to work on strategy, something China has done with more than 100 countries.

In Venezuela, the government of President Nicolas Maduro said China would send protective gear for health professionals and coronavirus test kits. The country has also opened talks with China over possible financial support.

“Thank you China for cooperation and solidarity with Ecuador!” the country’s Vice President Otto Sonnenholzner wrote on Twitter, itemizing help from China that he said included 40,000 surgical masks, infrared thermometers, and protective suits.

In Brazil, right-wing President Jair Bolsonaro has moved quickly to heal a diplomatic rift with China and Chinese officials have said Beijing would assist with medical supplies and technical assistance.

Chinese firms, including Alibaba (BABA.N), Huawei, COFCO, China Communications Construction and the Bank of China have pledged donations around the region.

Back in Argentina, Washington is keen to show that it also wants to help.

“We plan this week to make funds available to Argentine authorities to combat coronavirus,” an official at the U.S. embassy in Buenos Aires told Reuters, adding the country was “looking at the possibility of additional donations.”